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Act on the Sale of Alcoholic Beverages (Alcohol Act)

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Act on the Sale of Alcoholic Beverages (Alcohol Act) 1 Act on the Sale of Alcoholic Beverages (Alcohol Act) Chapter 1 GENERAL PROVISIONS Section 1-1 Purpose of the Act The purpose of regulating the importation and sale and serving of alcoholic beverages pursuant to this Act is to curb to the greatest possible extent the harm to society and the individual that may result from the consumption of alcoholic beverages. To this end the Act aims at limiting the consumption of alcoholic beverages. Section 1-2 Scope and extent of the Act The Act shall apply to the importation into, and exportation from, and the sale and serving of alcoholic beverages in Norway. The ministry may issue regulations regarding the application of the Act in Svalbard, Jan Mayen and on the continental shelf and may lay down special rules to take account of local conditions. Section 1-3 Definition of alcoholic beverage In this Act "alcoholic beverage" is used as a generic term for beverages that contain more than 2.50 per cent alcohol by volume, nevertheless such that the minimum age provision in section 1-5 applies to beverages containing between 0.70 and 2.50 per cent alcohol by volume. "Spirits" means a beverage that contains manufactured alcohol unblended or blended with other products. All beverages containing 22 per cent or more alcohol by volume shall be regarded as spirits. Liquids which are unsuited as intoxicants because of denaturation or for other reasons, shall not be regarded as alcoholic beverages pursuant to this Act. Nor shall liquids to which alcohol has been added only in an amount necessary to keep them in solution or to impart keeping qualities. The provisions of this Act shall not apply to alcohol that pursuant to other Acts is sold, bought, supplied or dispatched for medical, technical or scientific use, or to spirits used for disinfection. The ministry may issue regulations on which alcoholic products shall be regarded as alcoholic beverages, and on which alcoholic beverages shall be regarded as spirits. In cases of doubt the ministry may settle such matters with binding effect. Section 1-4 Definition of retailing, serving and wholesaling "Retailing" means the supplying of alcoholic beverages to the consumer in return for payment for consumption off the premises. "Serving" means sale for consumption on the premises. "Serving" is also deemed to include consumption of which the licensee is aware in parts of the house that are at his disposal, on 2 other premises in his possession, or in the immediate vicinity of the premises. “Wholesaling” means the supplying of alcoholic beverages in return for payment that does not fall within the first or second paragraph. Section 1-4a Licence requirement Alcoholic beverages may only be sold, served or produced on the basis of a licence granted under this Act. Section 1-4b Licensee Under this Act a licence shall be granted to the party for whose account the business is run. Section 1-4c Obligation to register – wholesaling of alcoholic beverages Alcoholic beverages may only be sold wholesale by undertakings registered with the Customs and Excise Service as liable for excise duty. However, goods on which special duty has been paid may be sold wholesale by undertakings registered under this Act in accordance with regulations issued by the ministry. Alcoholic beverages that are not sold wholesale to purchasers abroad may only be sold wholesale to a party holding a licence to retail, serve or produce the beverage concerned or who is entitled to carry on wholesaling. However, alcoholic beverages may not be sold wholesale to a party who holds a licence restricting that party to selling or serving for a temporary event or an ambulatory licence. The vendor is obliged to satisfy himself that the purchaser holds the requisite licence or is entitled to carry on wholesaling. The ministry may issue regulations on the right of a party engaged in wholesaling to utilise alcoholic beverages as gifts, payment in kind or dividend, and to sell alcohol to employees for their own consumption. Wholesaling shall be practised in such a way that the conditions mentioned in this Act and in provisions issued pursuant to this act are complied with at all times, and in a proper manner in general. The ministry may issue regulations on the content of the obligation to ensure that the business is carried out in accordance with provisions laid down in or pursuant to this Act. The responsibility for oversight of wholesaling rests with the Customs and Excise Service. Section 1-5 Minimum age Alcoholic beverages containing 22 per cent or more alcohol by volume must not be retailed, served or supplied to anyone under the age of 20. Alcoholic beverages containing less than 22 per cent alcohol by volume must not be retailed, served or supplied to anyone under the age of 18. Persons who retail or serve alcoholic beverages containing 22% or more alcohol by volume must be 20 years of age or more, and persons who retail or serve other alcoholic beverages must be 18 years of age or more. This shall not, however, apply to waiters with a cook's or waiter's certificate, or to the retailing of beverages containing between 0.7 and 2.5 per cent alcohol by volume when a person of 18 years of age or more supervises such retailing on a 3 daily basis. The ministry may issue regulations on exemptions from this requirement in respect of apprentices and other persons undergoing training. The ministry may lay down regulations on the minimum age for importing alcoholic beverages. Section 1-6 Licensing period A municipal licence to retail alcoholic beverages containing more than 4.75 per cent alcohol by volume may be granted for four years at a time, with expiry no later than 30 June the year after a new municipal council takes office. A municipal licence to retail alcoholic beverages other than those mentioned in the first paragraph and to serve alcoholic beverages, may be granted for periods of up to four years, with expiry no later than 30 June the year after a new municipal council takes office. Moreover, such licences may be granted for a specific part of the year, and for a specific occasion. State licences to serve alcoholic beverages shall apply until further notice. State licences to produce alcoholic beverages shall apply until further notice, but may if special conditions so warrant be limited to a specified period. If a final decision on renewal of a granted licence has not been made by the date on which the licensing period expires, the licence shall remain valid until the end of the month in which a final decision is adopted, but may not extend more than three months beyond the start of the new licensing period. Section 1-7 Licence to retail and serve alcoholic beverages Licences to retail and serve alcoholic beverages shall be granted by the municipality unless a State licence is granted pursuant to chapter 5. Licences to serve alcoholic beverages on trains or on board ships which are not encompassed by State authority to grant licences under section 5-2 shall be granted by the municipality which is the base for the activity of the ship or train concerned. Where such activity extends across two or more municipalities, all affected municipalities must grant a licence. Before the municipal council decides on an application, statements shall be obtained from the social services and the police. Statements may also be obtained from the tax and excise authorities. In municipalities with a military training area, a statement shall also be obtained from the military unit concerned. The municipality may require the applicant to provide documentary proof of the information needed to decide whether the requirements of sections 1-7b and 1-7c are met, and also, as and when required, to present a financing plan, operating budget and cash budget for the establishment. Notification of granted licences shall be sent to the police and the tax and excise authorities. The municipality may delegate licensing powers to an inter-municipal board. Decisions taken 4 by such a board may be appealed to the appeals body of the host municipality. Section 1-7a The municipality's exercise of discretion when processing applications for a licence to retail or serve alcoholic beverages When processing a licence application, the municipality may inter alia attach importance to the number of premises already licensed to retail and serve alcoholic beverages, the nature of the establishment, its location, the target group, traffic conditions and public peace and order, local competition policy considerations and consideration for the local environment in general. Importance may also be attached to whether the licence applicant and persons as mentioned in section 1-7b first paragraph are fit to hold a licence to retail or serve alcoholic beverages. A licence granted under section 4-2 third paragraph may only be extended provided the production is to take place at the serving establishment, and provided the production and the serving will constitute a part of the establishment's overall character and service offering. The municipality may decide to imposes a ceiling on the number of licences granted to retail or serve alcoholic beverages. Section 1-7b Requirement of good repute The licensee and anyone exerting material influence on the establishment must be of spotless repute in relation to the alcohol legislation and provisions of other legislation relevant to the purpose of the Alcohol Act, as well as in relation to the tax and excise and accounting legislation. Anyone who owns a significant part of the establishment or of the business enterprise that operates the establishment or receives a significant portion of its revenues, or by virtue of his position in the management exercises significant influence on it, will invariably be deemed to exercise significant influence on the establishment.
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